When someone agrees to borrow money for college with federal student loans, they don’t make their payments to the government. Instead, the U.S. Department of Education contracts with a variety of student loan servicers that manage that side of the equation.

Nelnet is one of several federal student loan servicers that you might be matched with if you borrow money for school. Nelnet’s student loan servicing used to be called U-fi From Nelnet but has been rolled under the main brand.

What is Nelnet and what does it do?

Nelnet is a student loan company that primarily services federal student loans. When you take out federal student loans, the Department of Education chooses a servicer among several different providers and assigns it to you.

If your loans were assigned to Nelnet, the company oversees your loan balances, your payments and your account. You will make monthly payments on your student loans directly to Nelnet, either by check, by phone or online, and you can always reach out to Nelnet with customer service inquiries about your account.

Is Nelnet a good loan servicer?

Like other student loan servicers, Nelnet has seen its share of poor user reviews. For example, the company shows 1.31 stars out of five on average within its Better Business Bureau (BBB) profile, with most complaints citing poor customer service and slow processing times. However, this low rating is fairly typical among student loan servicers. Nelnet is still accredited with the BBB with an A+ rating.

The service also has about 1.5 stars out of five on Yelp from 198 reviews, with many complaints revolving around poor communication. There are also complaints about large interest rate payments, so like many student loans, it’s possible to pay only on interest and never have the loan paid off.

Nelnet also has a 3.3 out of five stars on WalletHub out of 221 reviews. Negative reviews also discuss high interest payments and long processing times.

What types of student loans does Nelnet service?

Nelnet services federal student loans. Nelnet could be your servicer if you have one the following loan types:

  • Grad PLUS loan.
  • Perkins loan.
  • Federal student loan consolidation.
  • Stafford loan.

How do I know if Nelnet is my servicer?

If Nelnet reaches out to you about your student loans, that’s a sign that it’s been selected as your loan servicer. However, there are other ways to check whether your loans are with Nelnet, including the following:

  • Visit your Federal Student Aid dashboard and log in using your FSA ID. Find the “My Aid” section and click on “View loan servicer details.”
  • Call the Federal Student Aid Information Center (FSAIC) at 800-433-3243.
  • Check your credit reports to see which servicer is listed.

If Nelnet is your student loan servicer, you should create an account on the Nelnet website. Doing so will allow you to keep an eye on the details of your student loan, including balances, interest and payments. Nelnet gives you the option to make online payments on your account, and you can also sign up for paperless billing.

How do I make Nelnet payments?

You can make payments to Nelnet directly in a few ways:

  • Online.
  • By mail to the address on your statement, list the account number.
  • By phone at 888-486-4722.
  • Via an online bill pay service.
  • The mobile app available through the iTunes Store and Google Play.

You can choose to make payments to Nelnet manually, but the servicer also offers automatic payment options — which may give you an interest rate discount.

Nelnet lets customers sign up for text alerts that notify them when a payment is due or a balance has been updated. You can also opt for text alerts that notify you about past-due payments.

How to contact Nelnet

There are several options to consider if you need to contact Nelnet for any reason. You can:

  • Fill out a contact email form.
  • Call 888-486-4722 Monday through Friday from 8 a.m. to 11 p.m. ET. and Saturday 10 a.m. to 2 p.m. ET.
  • Reach out through Facebook or Twitter.
  • Send correspondence in the mail to P.O. Box 82561, Lincoln, NE 68501. California residents can mail P.O. Box 82578, Lincoln, NE 68501.

The future of Nelnet

The Department of Education is currently transitioning into a new “Next Gen” platform for student loans, which will reduce the number of student loan servicers it contracts with in an attempt to simplify the experience for borrowers. For a while it appeared Nelnet was not chosen as one of these servicers, however, the Nelnet website states that current plans are to service FSA loans for the “foreseeable future.”

The bottom line

Nelnet is a student loan servicer that manages and oversees some federal student loans. If it’s your servicer, it is the company you should contact with questions about your student loan repayment.

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